Money Supply and the Dynamic Adjustment Speed of Capital Structure - Based on Unbalanced Panel Data in China

摘要

Over the past years, capital structure has been one of the most Important subjects in financial management. Our study alms to study the Influence of macro factors on the dynamic adjustment speed of capital structure over the period of 2000 to 2015. Considering the traits of debt, this article classifies the capital structure into four categories, and then we develop a dynamic capital structure model to measure the adjustment speed of different kinds of capital structure and the effects of money supply. The results found that:(1) Different kinds of capital structure have different dynamic adjustment speed, the adjustment speed of the short-term capital structure is more sensitive than the adjustment speed of long-term capital structure; (2) Money supply will affect the adjustment speed significantly, loose monetary supply will speed up the adjustment;(3) Determinants of firm-specific will have influence on the capital structure.